What Dealers Need to Know About Millennial Women Car BuyersJune 12th, 2019 by MAX Digital
Millennials are, without a doubt, the most important car-buying group for auto dealers today. Not only are millennials the largest generation in today’s workforce, they have the highest purchase intent across any generational group. Thirty four percent of millennials intend to purchase a vehicle in the next 12 months.1 This trend will only continue as more millennials grow their careers and families. J.D. Power anticipates that millennials will be responsible for 40 percent of overall new car sales by 2020. Like older generations, a majority of those car buyers are female. Women make up 65 percent of new vehicle sales and inform 80 percent of vehicle decisions. Understanding how to attract and appeal to millennial women car buyers can set your dealership up to succeed for decades to come.
So, what do millennial women want when buying a car?
- An Easy and Stress-Free Experience. Nearly 8 in 10 women ages 18-35 believe car buying is stressful, compared to two thirds of consumers overall.1 This may come as no surprise as the automotive industry has been traditionally male dominated. Women are more likely to consult outside help from a friend, family member, or mechanic when purchasing a vehicle. According to Women-Drivers.com, less than 30 percent of millennial women reported going to a dealership alone. “Our data shows in a very real way the level of cautiousness, stress, and apprehension millennial women have – compared against the larger buying group,” said Anne Fleming, CEO of Women-Drivers.com. Millennial women also reported the car-buying process took four hours in-store.2 A less time-consuming process would certainly ease tension.
- A Fair Deal. Millennial women buyers are even more motivated by price and value than all women.2 Salespeople must proactively build value in every single car by highlighting key features (tech package, safety features, etc.). And back up the price by showing pricing proof points (evidence) such as Kelley Blue Book value and comparisons to prices for the rest of the market.
- Trust and Transparency. “Trustworthiness” was ranked as the #1 quality millennial women want in a car salesperson.2 Millennial women are more than comfortable using technology to arm themselves with the information they need to make car-buying decisions. They have a wealth of information at their fingertips and are ready to access that information while in your dealership. When visiting the dealership, a millennial woman will want to speak to a salesperson who’s transparent and equally well-informed. Salespeople should listen carefully and provide honest answers. Be a product expert who sells on quality and value, and back it up with evidence.
Millennial women have done their homework. These are the top websites influencing their decisions: 2
Kelley Blue Book 54.55% Manufacturer 35.54% Dealership 30.58% AutoTrader.com 29.75% Carfax.com 20.66% TrueCar.com 19.83% Cars.com 16.53% Consumer Reports 14.05% Craigslist.com 9.09%
- Online Reviews. Millennial women report using car dealer reviews 40 percent more than women overall.2 Car dealer reviews are a great way to get a potential buyer into the store. Ensure your reviews are easily visible on your website and not hidden under ‘About Us.’ Motivate shoppers to share their positive experiences online; always look for ways to surprise and delight consumers (e.g. free car wash).
1 2018 Mintel Car Purchasing Process, U.S.
2 2019 Women’s Car Buying Trends, Women-Drivers.com.